Cherry Bekaert Responds to AICPA’s Proposed Amendments to Audit Reporting
In a comment letter last month to the American Institute of Certified Public Accountants (“AICPA”), Cherry Bekaert (“the Firm”) Partner David Bettler, CPA , affirms the Firm Partners’ support of the AICPA Auditing Standards Board’s Proposed Statements on Auditing Standards, Auditor Reporting and Proposed Amendments―Addressing Disclosures in the Audit of Financial Statements . Bettler states that the proposed standards and amendments will be useful to financial statement users, as well as improve transparency and the quality of audits. The two-page letter also features the Partners’ responses to the exposure draft questions considered by the Auditing Standards Board. Read David Bettler’s comment letter on AICPA.org.
PCAOB Audit Engagement Partner Disclosure Rule Approved
The Securities and Exchange Commission has approved the Public Company Accounting Oversight Board’s (“PCAOB”) rule requiring the disclosure of the engagement partner and other participating accounting firms in an audit in Release No. 34-77787, Public Company Accounting Oversight Board; Order Granting Approval of Proposed Rules to Require Disclosure of Certain Audit Participants on a New PCAOB Form and Related Amendments to Auditing Standards. Per the release, audit firms will have to disclose such information when filing the new PCAOB Form AP, “Auditor Reporting of Certain Audit Participants.” The lead audit firm must also make known the extent of other auditors. Read More.
Topics: Audit Disclosures, Auditor Reporting of Certain Audit Participants form "Form AP", Jumpstart Our Business Startups Act "JOBS Act", Public Company Accounting Oversight Board "PCAOB", Securities and Exchange Commission "SEC"
SEC Wants Feedback on PCAOB Rules for Disclosing Audit Participants
The Securities and Exchange Commission (“SEC”) has issued a Notice of Filing of Proposed Rules on Improving the Transparency of Audits: Rules to Require Disclosure of Certain Audit Participants on a New PCAOB Form and Related Amendments to Auditing Standards for public comment. Issuance of the notice is for receiving feedback on the Public Company Accounting Oversight Board’s (“PCAOB”) new rules to give investors more information regarding the participants of audits. The PCAOB’s new rules and amendments to auditing standards call for audit firms to identify the audit engagement partner and other audit firms involved in each audit. Under the. Read More.
PCAOB Chairman Calls for Audit Firms to Disclose Tenure Length
Speaking last month on the Public Company Accounting Oversight Board’s (“PCAOB”) project to expand the auditor’s report section, PCAOB Chairman James Doty said he wants an auditor’s length of service to be disclosed in a client’s Securities and Exchange Commission filings. Doty believes that the requirement, which was initially proposed in Release No. 2013-005, Proposed Auditing Standards on the Auditor’s Report and The Auditor’s Responsibilities Regarding Other Information and Related Amendments, is supported by the fact that an increasing number of audit firms are providing voluntary disclosures on tenures. Several investors support the provision, calling it a sensible compromise to a. Read More.